Budget Highlights 2025/2026
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Contributions to pension, provident and retirement annuity funds
The two-component system became effective on 1 September 2024, consisting of the following components:
Provisional tax is payable by all taxpayers except natural persons if:
General provisions
Resident companies, non-resident companies/branch profits and personal service providers
Tax rates
A small business corporation is a close corporation, private company (other than a personal service provider) or personal liability company of which:
In order to qualify as a PBO an entity needs to have as its main object the carrying out of one or more public benefit activities in a non-profit manner.
Dividends tax is a tax levied on the shareholder at a rate of 20% on dividends paid. However, where a dividend in specie is paid, dividends tax is a tax levied on the company declaring the dividend. Dividends tax is normally withheld by the company paying the dividend and is payable at the end of the month following the month in which the dividend was paid. The repayment of contributed tax capital by a company would be regarded as a return of capital and not subject to dividends tax.
Persons subject to CGT
Diagram illustrating the rule for determining persons who are related within the third degree of consanguinity